Abstract

MAYER-FOULKES, David. Fallas de mercado en capital humano. La trampa intergeneracional de la pobreza en México. El trimestre econ [online]. 2007, vol.74, n.295, pp.543-614.  Epub Nov 20, 2020. ISSN 2448-718X.

Human development, understood as a long-term synergism between technological, physiological and cultural improvements, is a decisive, long-term factor of economic growth. However, it is characterized by intergenerational traps that slow down economic growth. This characterization is useful to analyze the effects of pro-market reform on the poor. The presence of traps is verified empirically for Mexico by evidencing the following constituent elements. Education has increasing returns not tapped by the bulk of the population (Mincerian estimates including stature and schooling). Early child health and nutrition are strongly associated with the probability of continuing in school later in life (probit estimates for continuing in school three more years, controlling for parental education, income and wealth). The population classifies itself into two social classes, those with complete lower secondary or less, and those with 15 or more years of education. Improvements in the lower group’s schooling respond mainly to public education. The possible market failures causing the intergenerational human capital accumulation trap are analyzed. Even though recent pro-market reforms in Mexico raised the returns to education, in the presence of the trap the necessary investment in human capital did not occur and the benefits of reform were less than expected. Policies supporting nutrition, health and early child development (shown to be economically justified just on the implied gains in education), as well as education, must complement pro-market reforms to effectively promote long-term economic growth.

Keywords : crecimiento económico; desarrollo humano; salud; educación; trampa de pobreza; México.